By Prof. S. K.

CHOPRA
 Collective Bargaining : Takes place when a number
of workers through their Union (s) enter into a
negotiation as a Bargaining Unit with an Employer
or Group of Employers with the object of reaching
an agreement on the working conditions and
conditions of employment of Workers.
 Effectively: Collective Bargaining is a managerial
tool that facilitates an amicable & mutually
acceptable agreement between the Management &
the Employees/Union(s) to solve all employment
related problems.
 The terms of agreement serve as a code of defining
rights and obligations of each party.
 Collective bargaining is a process of discussions and
negotiations between an employer and a trade union
culminating in a written agreement with the object of reaching
an agreement on the working conditions and conditions of
employment of Workers.
 The Supreme Court of India has defined the process of
collective bargaining as a technique by which, dispute as to
conditions of employment is resolved amicably by agreement
rather than coercion.
 Workers, who are generally represented by a trade union, use
this medium to express their grievance about various issues
such as wages and working conditions.
 One of the most important aspects of collective bargaining is
that it is a never ending process. It does not finish after an
agreement has been reached. It continues for the life of the
agreement and beyond.
The main Features/characteristics of
Collective Bargaining:
1. Group Activity.
2. Activity in Levels
- Plant/Unit level
- Industry/National level
- Govt: through Arbitration
3. Flexibility
4. Win – Win situation
5. Builds Relationships
 Firstly, the primary condition for the successful process of
collective bargaining is the existence of well-organized and
fully recognized trade unions with well-defined policies. It
follows that collective bargaining is not very useful in the
early stages of development when unions are not well
organized.
 Secondly, Collective bargaining can be an effective
technique of settling industrial disputes when there is a
spirit of give and take between the employers and the
workers.
 Thirdly, as there is no legal sanction behind the terms and
conditions voluntarily agreed upon, the parties concerned
must do things and act in good faith on the basis of mutual
agreement
 Fourthly, much depends upon the moral fiber of the labour
leaders as well as the employers. There should be a
complete and true understanding and appreciation of each
other’s view points.
1.To provide an opportunity to the workers to voice their
issues/problems related to employment.
2. To facilitate reaching a solution acceptable to all the parties
involved.
3. To resolve all conflicts & disputes in a mutually agreeable
manner.
4. To prevent any conflicts/disputes in the future through
mutually signed contracts.
5. Ensure better basic wage and other benefits.
6. Ensure better working conditions and condition of work.
7. Ensure future interest of employees
8. To develop a conducive atmosphere to foster good & healthy
I.R. establishing Industrial peace & Harmony
9. To resolve issues through III Party i.e. Government involvement
in case of conflicting interests of the Parties
10.To enhance productivity & profitability of the Organisation
1. There should be Recognised Union or Single Union.
2. In case of multiple Unions or absence of Recognised
Union, a common agreement among them.
3. Management should be open to the requests of the
Trade Unions and should identify the Unions’ Reps.
4. Agreement should be based on Bi-partite bargaining &
role of third party should be minimised.
5. All the Parties should aim at win-win situation
6. Common interests of Organisation & Employees
should be taken into consideration while reaching any
Agreement.
1. National Level industry bargaining is
common in core Industries as coal,
banking, etc.
2. Industry cum Regional bargaining is
peculiar to Industries where the private
sector dominates such as cotton, jute,
textiles etc.
3. Enterprise level bargaining at the
Company level.
4. To explain CDA/IDA scales in
Govt./PSUs.
1. A charter of demands
The trade union will notify the employer for
initiating collective bargaining negotiations. The
representatives of the trade union draft a charter of
demands which contains issues related to terms of
employment and the working conditions namely
wages and allowances, bonuses, working hours,
benefits, holidays. In some cases, an employer may
also notify the trade union and initiate collective
bargaining negotiations.
2. Preparation for Negotiation:
- Selection of Negotiation Teams
- Identifying Issues, Problems for negotiation
- Facts and figures
- Strong & logical arguments from both the Sides.
 3. Internal Data
- Employees Performance Reports
- O.T. Figures, Absenteeism, Turn over, Profit
& Loss, Cost per unit/inputs, Accident
reports, copies of recently negotiated
contracts.
4. External Data
- Current economy at the local and National
level
- Cost of living Index, Consumer Price Index
for Industrial workers
- Rates of wages prevalent in neighbouring
States/similar occupations.
.
5. Negotiations
 Decide an appropriate time & set a proper
climate for negotiations
 Demands by Unions – on higher side
 Offers by Management
 Possible alternatives/opinions to resolve the
issues by both the sides.
 After verbal agreement is reached, a written
agreement is prepared and signed by both
the parties
6. Agreement
 Date of commencement of Agreement
 Its duration
 A definition of ‘Terms’ used
 The procedure for settling disputes regarding
interpretation as well as other disputes
 The consequences in the event of breach of
agreement.
7. Notification and implementation of Agreement
 The terms of the Agreement reached have to be
widely circulated amongst all the employees.
 Action to be taken for implementation of decisions
taken by concerned Departments.
 Collective bargaining by trade unions often tends
to be an arm-twisting exercise given the political
affiliation of trade unions in India and it is more
about the show of strength by the trade union as
opposed to a good faith effort to negotiate genuine
demands of workers.
 For a successful process of collective bargaining, it
must begin with proposals rather than demands
and the parties should be ready to negotiate and
compromise. The process of collective bargaining
enables healthy discussions between workers and
employers and facilitate the growth of industrial
relations.
 If the Employer and the workmen fail to arrive at a settlement
through negotiations, the Conciliation Officer may intervene
as a Mediator to reconcile the differences of opinion and help
them in achieving a successful settlement.
 The Conciliation Officer of the Area/Industry is appointed by
the Government to resolve the issues between the
Management and the Union(s) under the provisions of The
Industrial Disputes Act, 1947.
 However, Conciliation Officer is not competent to decide the
various points of issues between the opposite parties.
 Intervention by the Conciliation Officer is mandatory in case
an industrial dispute has arisen in a Public Utility Service and
notice of strike or lock-out (under Section 22) of the ID Act,
1947 has been served.
 Section 2 (n) of the I.D. Act, 1947 "public utility service" means,
 (i) any railway service or any transport service for the carriage of passengers or
goods by air;
 (ia) any service in, or in connection with the working of any major port or dock;
 (ii) any section of an industrial establishment, on the working of which the
safety of the establishment or the workmen employed therein depends;
 (iii) any postal, telegraph or telephone service;
 (iv) any industry which supplies power, light or water to the public;
 (v) any system of public conservancy or sanitation;
 (vi) any industry specified in the First Schedule which the appropriate
Government may, if satisfied that public emergency or public interest so
requires, by notification in the Official Gazette, declare to be a public utility
service for the purposes of this Act, for such period as may be specified in the
notification:
 Provided that the period so specified shall not, in the first instance, exceed six
months but may, by a like notification, be extended from time to time, by any
period not exceeding six months, at any one time if in the opinion of the
appropriate Government public emergency or public interest requires such
extension;
 [See Section 2(n)(vi)]
 Industries which may be declared to be Public Utility Services under sub-clause
(vi) of clause (n) of Section 2 :
 1. Transport (other than railways) for the carriage of passengers or goods by
land or water;
 2. Banking;
 3. Cement;
 4. Coal;
 5. Cotton textiles;
 6. Foodstuffs;
 7. Iron and steel;
 8. Defence establishments;
 9. Service in hospitals and dispensaries;
 10. Fire brigade service;
 11. India Government Mints;
 12. India Security press;
 13. Copper Mining;
 14. Lead Mining;
 15. Zinc Mining;
 16 .Iron Ore Mining;
 17. Service in any oil-field;
 18. Service in uranium industry;
 19. Pyrites mining;
 20. Security Paper Mill, Hoshangabad;
 21. Aeronautical. Engineering industry.
 22. Services in the Bank Note Press, Dewas;
 23. Phosphorite mining;
 24. Magnesite Mining;
 25. Currency Note Press;
 26. Manufacture or production of mineral oil (crude oil), motor and aviation
spirit, diesel oil, kerosene oil, fuel oil, diverse hydrocarbon oils and their
blends including synthetic fuels, lubricating oils and the like;
 27. Service in the Airports Authority of India;
 28. Industrial establishments manufacturing or producing nuclear fuel and
components, heavy water and allied chemicals and atomic energy;
 29. Processing or production of fuel gases (coal gas, natural gas and the like);
 30. Manufacturing of Alumina and Aluminum; and
 31. Mining of Bauxite
 The Industrial Disputes Act, 1947, under its Section 4,
provides for the appropriate government to appoint such
number of persons as it thinks fit to be conciliation officers.
Here, the appropriate government means one in whose
jurisdiction the disputes fall.
 While the Labour Commissioner/Additional Labour
Commissioner/Deputy Labour Commissioner is appointed as
conciliation officer for undertakings employing 20 or more
persons, at the State level.
 Officers from Central Labour Commission office are appointed
as Conciliation Officers, in the case of Central government
Departments/Undertakings
 The conciliation officer enjoys the powers of a Civil Court. He
is expected to give decision within 14 days of the
commencement of the conciliation proceedings. The decision
given by him is binding on the parties to the dispute.
 Section 11(4) of I.D.Act,1947
 A conciliation officer may enforce the attendance of
any person for the purpose of examination of such
person or call for and inspect any document which
he has ground for considering to be relevant to
the industrial dispute or to be necessary for the
purpose of verifying the implementation of any
award or carrying out any other duty imposed on
him under this Act, and for the aforesaid purposes,
the conciliation officer shall have the same powers
as are vested in a Civil Court under the Code of Civil
Procedure, 1908 in respect of enforcing the
attendance of any person and examining him or of
compelling the production of documents
 If a settlement is arrived at as a result
of conciliation proceedings, a
memorandum of settlement is worked
out and it becomes binding on all
parties concerned for a period agreed
upon.
 The Conciliation Officer shall send a
Report of proceedings to the
Government, as to whether a settlement
has been arrived or not within 14 days
of the commencement of the
conciliation proceedings or within the
extended time.
 Sections 11 & 12:
 If no settlement is arrived at, the Conciliation Officer shall, as
soon as practicable after the close of the investigation, send a
full report to the appropriate Government, setting forth the
steps taken by him for ascertaining the facts and
circumstances relating to the dispute and for bringing about
a settlement thereof, and the reasons on account of which a
settlement could be not be reached.
 On consideration of the Report, the appropriate Govt. may, if
it feels necessary, refer the dispute to the Conciliation Board,
Labour Court, Industrial Tribunal or National Tribunal.
 If no such reference is made, the appropriate Govt. shall
record and communicate to the parties concerned the reasons
therefor.
 Section 13: Conciliation Board also follows same process of
Conciliation proceedings.
 Section 18: Persons on whom settlements are
binding
 A settlement arrived at by agreement between
the employer and workmen otherwise than in the
course of conciliation proceeding shall be
binding on the parties to the agreement.
 A settlement arrived at in the course of
conciliation proceedings under I.D. Act, 1947
shall be binding on all persons who were
employed in the establishment or part of the
establishment, as the case may be, to which the
dispute relates on the date of the dispute and all
persons who subsequently become employed in
that establishment or part.
 A Settlement arrived at in the course of
conciliation proceedings with a recognised
majority union will be binding on all workmen
of the establishment, even to those who
belong to the minority union which had
objected to the settlement.
 Citation: General Secretary, Barauni
Telshodak Mazdoor Union Vs. Joint Chief
Labour Commissioner (Central) and others –
Civil Appeal No: 931of 1990 – 1990 LLR (SC)
465
Section19: Period of operation of settlements
(1) A settlement shall come into operation on such date as is
agreed upon by the parties to the dispute, and if no date is
agreed upon, on the date on which the memorandum of the
settlement is signed by the parties to the dispute.
(2) Such settlement shall be binding for such period as is
agreed upon by the parties, and if no such period is agreed
upon, for a period of six months from the date on which the
memorandum of settlement is signed by the parties to the
dispute, and shall continue to be binding on the parties after
the expiry of the period aforesaid, until the expiry of two
months from the date on which a notice in writing of an
intention to terminate the settlement is given by one of the
parties to the other party or parties to the settlement.
 Arbitration is a process in which the
conflicting parties agree to refer their
dispute to a neutral third party known
as ‘Arbitrator’.
 Arbitration differs from conciliation in
the sense that in arbitration, the
arbitrator gives his judgment on a
dispute while in conciliation, the
conciliator involves disputing parties
to reach at a decision.
 In India, there are two types of
arbitration: Voluntary and Compulsory
 There is also a provision for voluntary reference to
arbitration. A reference under Section 10A (1) is not
the act of the appropriate government but the act of
the parties themselves.
Section10 A: Voluntary reference of disputes to arbitration
 (1) Where any industrial dispute exists or is apprehended and
the employer and the workmen agree to refer the dispute to
arbitration, they may, at any time before the dispute has been
referred to a Labour Court or Industrial Tribunal or National
Tribunal, by a written agreement, refer the dispute to
arbitration and the reference shall be to such person or
persons (including the presiding officer of a Labour Court or
Tribunal or National Tribunal) as an arbitrator or arbitrators as
may be specified in the arbitration agreement.
 (2) An arbitration agreement referred to in sub-section (1)
shall be in such form and shall be signed by the parties thereto
in such manner as may be prescribed.
 (3) A copy of the arbitration agreement shall be forwarded to
the appropriate Government and the Conciliation Officer and
the appropriate Government shall, within one month from the
date of the receipt of such copy, publish the same in the
Official Gazette.
 4) The arbitrator or arbitrators shall investigate the dispute
and submit to the appropriate Government the arbitration
award signed by the arbitrator or all the arbitrators, as the case
may be.
 (4-A) Where an industrial dispute has been referred to
arbitration and a notification has been issued under sub-
section (3A), the appropriate Government may, by order,
prohibit the continuance of any strike or lock-out in
connection with such dispute which may be in existence on the
date of the reference.
In compulsory arbitration, the
Government can force the
disputing parties to go for
compulsory arbitration.
The judgment given by the
arbitrator is binding on the
parties of dispute.
 Property
 Insurance
 Contract (breach thereof)
 Business/Partnership disputes
 Family disputes (except divorce
matters)
 Construction
 Commercial recoveries
 Matter of criminal nature or Criminal cases
 Minor guardianship (Proceedings for appointment of a guardian
for a Minor)
 Will related matters (validity of will)
 Matrimonial (divorce cases, child custody, judicial separation)
 Matters concerning Public Charitable Trusts
 Insolvency matters, winding up matters,
 Issue of succession certificate,
 Eviction or tenancy matters governed by special statutes,
 Disputes arising from and founded on an illegal contract or
contract was void ab initio.
 Torefer/study : Article/Judgement
on Arbitration of Industrial
Disputes under I D Act, 1947 or
Arbitration & Conciliation Act,
1996.
 Section 2 (q) of I.D. ACT, 1947
“Strike”
 Cessation or suspension of work by
 Group of Employees employed in any Industry
 Acting in combination or
 Concerted refusal or
 Refusal under common understanding:-
 To continue to work or
 To accept employment
Three (3) ingredients of
“Strike” :
1. Plurality of workmen
2. Cessation of work or refusal
to do work and
3. Combined or concerted
action
A. PRIMARY STRIKES :
1. Token or Protest Strike
2. Hunger Strike
3. Stay-away Strike
4. Stay-in or sit-down Strike
5. Pen-Down or Tool-Down Strike
6. Lightening or Wild-cat Strike
7. Work to Rule
8. Go-Slow Tactics ?
9. Gherao
B. SECONDARY OR SYMPATHY STRIKE
 By another Group of Persons
 Against Third Party
C. OTHER STRIKES
 General
 Particular
 Political Bandhs or Hartals
 Section 2 (L)
 Lock out is temporary shutting down or closing
down the place of business by the employer.
 It differs from closure of the undertaking. While in
the case of ‘closure’, the employer does not merely
close down the place of business but finally closes
the business itself, in the case of ‘Lock-out’, the
employer closes the place of business only.
 Strike and lock-out are two coercive measures
resorted to by the employees and the employers,
respectively, for compelling the employers or
employees to accept their demands or conditions of
service.
 Section 23:
 No workman who is employed in an industrial
establishment shall go on strike in breach of contract
and no employer of any such workman shall declare a
lock-out.
(a) During the pendency of conciliation proceedings
before a Board and seven days after the conclusion of
such proceedings;
(b) During the pendency of proceedings before a Labour
Court, Tribunal or National Tribunal and two months
after conclusion of such proceedings;
(c) During the pendency of arbitration proceedings before
an arbitrator and two months after the conclusion of
such proceedings, where a notification has been issued
under sub-section (3A) of section 10A
  Section 22(1)
 No person employed in a public utility service shall
go on strike in breach of contract-
(a) Without giving to the employer notice of strike, as
hereinafter provided, within six weeks before
striking;
(b) Within fourteen days of giving such notice; or
(c) Before the expiry of the date of strike specified in
any such notice as aforesaid; or
(d) During the pendency of any conciliation
proceedings before a Conciliation Officer and seven
days after the conclusion of such proceedings.
 Section 22(2)
 No employer carrying on any public utility
service shall lock-out and of his workmen-
(a) Without giving them notice of lock-out as
hereinafter provided, within six weeks before
locking out; or
(b) Within fourteen days of giving such notice; or
(c) Before the expiry of the date of lock-out
specified in any such notice as aforesaid; or
(d) During the pendency of any conciliation
proceedings before a Conciliation Officer and
seven days after the conclusion of such
proceedings
 As held in Bhaskaran Vs. SDO (1982) II KLT 248
Kerala; Posts and Telegraphs Department being
Public Utility Service enterprise cannot declare
lockout without notice.
 Section 22 (2) prohibits such strike or lockout
unless the requirements of this provision are
complied with.
 As held by the SC in TISCO Ltd. Vs. Workmen, TISCO
AIR 1990 SC 1, the company was industry carrying
out Public Utility Service activity and that is why
notice as per Section 22 was necessary before
declaration/commencement of lockout.
 As the same requirement was not followed, the
lockout was held to be illegal as per Sections 22
and 24 of the ID Act.
 In HAL Employees Union v Presiding Officer and
Another (1996) 4 SCC 223, the Company had
declared lockout for 15 days and deducted wages of
employees for that period. The dispute regarding
payment of the wages for lockout period was referred
to the Industrial Tribunal for adjudication under
Section 4K of the UP ID Act 1947, the provisions were
similar to Section 10(1) (c) ID Act, 1947.
 The Tribunal after considering the evidences before it
held that as the lockout was just and lawful as
declared in consequence of an illegal strike organised
by the Trade Union hence no relief was granted to
the employees.
 Therefore, the lockout was held as legal and justified.
The decision was reaffirmed by the SC.
 The right to strike in the Indian constitution set up is not absolute
right but it flow from the fundamental right to form union. As every
other fundamental right is subject to reasonable restrictions, the same
is also the case to form trade unions to give a call to the workers to go
on strike and the state can impose reasonable restrictions.
 In the All India Bank Employees Association v. I. T . , the Supreme Court
held,
"the right to strike or right to declare lock out may be controlled or
restricted by appropriate industrial legislation and the validity of such
legislation would have to be tested not with reference to the criteria
laid down in clause (4) of article 19 but by totally different
considerations."
Thus, there is a guaranteed fundamental right to form association or
Labour unions but there is no fundamental right to go on strike.
 Under the Industrial Dispute Act, 1947 the ground and conditions are
laid down for the legal strike are not fulfilled then the strike will be
illegal
 Conclusion- The right to strike is not fundamental
and absolute right in India in any special and
common law, whether any undertaking is industry
or not. This is a conditional right only available
after certain pre-conditions are fulfilled.
 If the constitution maker had intended to confer
on the citizen as a fundamental right the right to
go on strike, they should have expressly said so.
On the basis of the assumption that the right to
go on strike has not expressly been conferred
under the Article 19(1) (c) of the Constitution
  Section 24 lays down the grounds on which a
strike can be declared to be legal or illegal:
 i. if it is in contravention to Section 22 or 23.
 ii. Or it is in contravention to of an order made
under Section 10(3) or 4-A of Sec 10 10-A of ID
Act, 1947.
A strike shall not be illegal if:
i. It at its commencement is not in contravention
to the provisions of the Act.
ii. Its continuance is not prohibited under Section
10(3).
iii. It is declared in consequence of an illegal
lockout.
 The act does not talk of justified or
unjustified strikes.
 The concept of just strike and unjust
strike has been developed by the
judiciary in order to develop the
concept that a strike should be
resorted to only when other remedies
have been exhausted.
 Similarly, a strike may be justified or unjustified
depending upon several factors such as the
service conditions of the workmen, the nature of
demands of the workmen, the cause led to strike,
the urgency of reasons for not resorting to the
dispute resolving machinery provided by the Act
or the contract the cause or demands of the
workmen, the of employment or the service rules
provided for a machinery to resolve the dispute,
resort to strike or lock-out as a direct is prima
facie is unjustified.
 This is, particularly so when the provisions of the
law or the contract or the service rules in that
behalf are breached. For then, the action is also
illegal.
 Legal & Justified strike:
 A strike may be legal if it is commenced without
the contravention of the provisions and may be
justified if it is bona fide resorted to for the
betterment of services conditions of workers
 Illegal but justified strike: When in contravention
to the provisions of the act but in furtherance of
mixed (legal and illegal) demands.
 Illegal but justified strike: When it is in
contravention of the provisions of the act but
undertaken in a peaceful manner.
 Consequences:
 Wages: In case the strike is legal and justified,
the workmen are entitled to wages for the
period of strike and vice versa.
 But this is changed in Bank of India vs. TS
Kelewala, The SC invoked the doctrine of no
work and no pay irrespective of justified are
not.
 It was observed that the legality of the strike
will only save the worker from disciplinary
proceedings but irrespective of legality or
illegality the principle of no work no pay.
 The workmen shall be entitled to wages
for the period of strike, where it is
found that the strike is neither illegal
nor unjustified.
 Citation: Swastik Textile Engg. Pvt. Ltd.
Vs. Rajen Singh Sant Singh & Others
1984 Lab I.C. 139 (Gujarat HC).
 FACTS:
1. 9.8.1955 the union submitted to the management
a charter of 15 demands. The management did not
agree to the principal demands.
2. A Conciliation Officer was appointed by both
parties but it was in vain. The last meeting was held
on 30.11.1995. The following day the union gave a
strike.
3. The strike continued till 5.1.1996 when the Govt.
referred the dispute to the industrial tribunal which
had granted all of the demands.
 Was the strike justified?
 In this Case, the SC observed that when the efforts by the
conciliation officer failed, the union knew that the next step
would be that the C.O. would provide a report to the
Government.
 On the basis of the report, the Union was to request the
Government to refer the matter to the Industrial Tribunal. The
Union did not choose to wait and after giving notice to the
Management, went on strike.
 A strike may be legal if it is commenced without the
contravention of the provisions and may be justified if it is
bona fide resorted to for the betterment of services conditions
of workers. A strike may be both legal and justified at the
commencement but as it progresses the strikers may resort to
the acts of violence and sabotage. Though such a strike may
not become illegal, it will certainly become unjustified with the
resort to such acts on the part of the workmen.
 In this case, the Supreme Court observed that on
one hand it has to be remembered that strike is
legitimate and sometimes unavoidable weapon in
the hands of the labor it is equally important to
remember that indiscriminate and hasty use of this
weapon should be not encouraged. The workmen
might have waited for some time after conciliation
efforts failed before starting a strike and in the
meantime to have asked the Government to make
the reference. They did not wait at all. The
workmen actually struck work on the very next day
when conciliation failed.
 Thus, the strike was unjustified.
 In the Mysore Lamp Works Workmen Vs.
Management of Mysore Lamp Works and
Another (1970) 2MysLJ 364, the strike was
resorted to, not for securing any improvement
in the conditions of service of workmen like,
pay, dearness allowance, bonus, etc. but to
compel the management to reinstate Janakiram
Naidu.
 As held by the High Court, Janakiram Naidu was
dismissed for misconduct, after holding a
proper enquiry in which such misconduct was
established.
 Before resorting to strike to enforce their
demand to reinstate him, no attempt was made
by the workmen to negotiate with the
management in this regard, nor did the
workmen approach the Government for making
a reference to the Industrial Tribunal of the
dispute relating to dismissal of Janakiram Naidu.
The workmen resorted to strike hastily.
 In the circumstance, we think the strike, though
not illegal, was not justified and therefore the
workmen could not claim wages on justifiable
basis for the period of strike.
 Dismissal of workmen-
In M/S Burn & Co. Ltd. Vs Their Workmen , it
was laid down that mere participation in the
strike would not justify suspension or
dismissal of workmen. Where the strike was
illegal, the Supreme Court held that in case of
illegal strike the only question of practical
importance would be the quantum or kind of
punishment.
 To decide the quantum of punishment a clear
distinction has to be made between violent
strikers and peaceful strikers
 In Crompton Greaves Ltd. v. Workmen, it was held that
in order to entitle the workmen to wages for the period
of strike, the strike should be legal and justified.
 A strike is legal if it does not violate any provision of
the statute.
 It cannot be said to be unjustified unless the reasons
for it are entirely perverse or unreasonable.
 Whether particular strike is justified or not is a question
of fact, which has to be judged in the light of the fact
and circumstances of each case.
 The use of force, coercion, violence or acts of sabotage
resorted to by the workmen during the strike period
which was legal and justified would disentitle them to
wages for strike period.
 The constitutional bench in Syndicate Bank
Vs. K. Umesh Nayak decided the matter, the
Supreme Court held that a strike may be
illegal if it contravenes the provision of
section 22, 23 or 24 of the Act or of any
other law or the terms of employment
depending upon the very dispute between
an employer and employee has to take in to
consideration the third dimension i.e. the
interest of the society as a whole.
 The SC taking the previous stand observed that
wages can be given only when the strike is legal and
justified. The Apex Court observed:
 1. A strike or a lockout should be used sparingly.
Where there is an established dispute resolution
mechanism the parties should opt for the same.
 2. A strike or a lockout is a right but often tends to
become power in case of disproportionate
bargaining power.
 3. It takes both labor and capital to take
responsibility of the public resources and as a result
no party can hold these resources at ransom.
 4. In cases of public sector the traditional hierarchy
of management and workman does not exist
because of the fact that both are employees.
 In this connection, it is pertinent to note that in the case
of Bank of India Vs. T.S. Kelawala & Others , the Supreme
Court had observed that the workmen are not entitled to
wages for the strike period, irrespective of whether the
strike is legal or illegal.
 However, a larger bench of the Supreme Court had
earlier upheld the claim for wages for the strike period,
where the strike was held to be neither illegal nor
unjustified.
 Citation: Churakulam Tea Estate Vs. its workmen
(1969)II LLJ 407 (SC); followed in Crompton Greaves Ltd.
Vs. Workmen (1978) II LLJ 80 (SC); LIC of India & Others
Vs. Amalendu Gupta & Others (1988) II LLJ 495 (Cl.), and
S.B. Staff Union (Madras Circle) Vs. SBI (1991)I LLJ 163
(Mad.)
 And where there are 2 pronouncements of
the Supreme Court, suggesting or indicating
views, the ruling of the decision rendered by
the larger Bench should be adopted.
 Citation: State of U.P. Vs. Ramachandra
(1977) I LLKJ 200 (SC).
 In a judgment the full Bench of the Supreme
Court has authoritatively laid down the law
relating to wages during the strike period and
held that workmen would not be entitled to
wages for the strike period unless the strike
was legal and also justified.
 However, exception has been made in a case where a
strike even if illegal was justified by the circumstances in
which it was resorted to. For instance, if in a plant there
is a gas leakage and the workers cease or refuse to work
suddenly, technically it may constitute an illegal strike
for want of notice. In such a case, the Court has
indicated that wages for the period of strike cannot be
denied to the workmen.
 The use of force or violence or acts of sabotage resorted
to by the workmen during a strike disentitles them to
wages for the strike period.
 Thus, it is concluded that where a strike is found to be
legal and justified and workmen did not resort to force
and violence, workmen are entitled to wages for the
period of strike.
 Citation: Crompton Greaves Vs. Workmen, AIR 1978 SC
1489.
 S. K. CHOPRA
+919456590007
skchopra57@rediffmail.com